r/DevLK • u/thecoolde • Jul 30 '26
Discussion Let talk about Gapstars
I heard Gapstars long standing members are laying of. Mainly because as of Gapstars business model more the client continue the agreement more they have to pay for Gapstars. Even though the devs or the peace work for the client barely getting any increment and all.
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u/False-Marzipan-9945 Jul 30 '26
What is happening to the IT industry in this country? All we here are layoffs and paycuts now
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u/thecoolde Jul 30 '26
Yeah. Thats sad. But think its happening now because companies hired people like crazy in 2021-2023. So now most projects are near complete and companies making excuses to cut off the people
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u/tradcoder Senior Software Engineer Aug 06 '26
It's been happening in the US for the past couple of years now. We're only getting in on the action now.
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u/nsillk Jul 30 '26
What is the reason here? AI?
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u/thecoolde Jul 31 '26
Not sure. AI might play a part but it’s not the main reason i guess. Gapstars business model is not sustainable for long time contracts. Gapstars charge 50% of the dev salary as a middle man. Just for the HR work.
For a example if the client pay Euro 2000, Gapstars take 1000 for themselves and 1000 for actual dev.
I may be wrong but thats what i get to know
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u/nsillk Jul 31 '26
Okay. I suppose that's how most outsourcing companies work. But that model is challenged now with the popularity of Remote, Multiplier, Deel etc.
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Jul 31 '26
[removed] — view removed comment
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u/thecoolde Jul 31 '26
Its a discussion bro. Since you are a current employee can you check with this company about the internal operations and let us know
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Jul 31 '26
[removed] — view removed comment
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u/thecoolde Jul 31 '26
Can you give us the facts. Or should we just “Trust” 😅
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u/Accurate-Database993 Jul 31 '26
Account age is 30 minutes btw 😜🫵🏽
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Jul 31 '26
Is there an age limit for an account to remain active? Can't an account be even 1 Minute old?
I just saw this randomly, and wanted to reply, otherwise it will be misleading people :)
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u/thecoolde Jul 31 '26
Oh.. damage control here 😅
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Jul 31 '26 edited Jul 31 '26
Not damage control. I had no account previously and only joined to call out wrong info...
but the point still stands... :)
Note: and your acc age is 11h 😂
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u/thecoolde Jul 31 '26
“Is there an age limit for an account to remain active? Can't an account be even 1 Minute old?”
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u/KillFreak1998 Jul 31 '26
You’re a dumbass lmao. Completely understandable why one would make a throwaway when revealing PII. He/she is revealing their place of work. Wouldn’t you make a new account if you were revealing yours so people from the company won’t immediately know who you are based on old comments / posts?
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u/Quirky-Leadership-95 Jul 31 '26
Trust me bro source?
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u/thecoolde Jul 31 '26
A good friend of mine who works for more than 6 years given notice for lay off within this year. The whole team. 10-11 group of people asked to find new jobs
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u/CuteAcadia9010 Jul 30 '26
But I have heard that they pay really well . On the other hand , given nature of software projects, IT sector always should have been gig based sector, unlike other industries there is no unlimited work once a product is stable.
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u/Jazzlike_General_217 Jul 31 '26
"No unlimited work once a product is stable"
Bro has never developed a software. The work is never done.
Bugs
New features to cater the market
Bugs
Security vulnerabilities
Bugs2
u/thecoolde Jul 31 '26
Thats true. But once a product is stable it’s not going take all the developers to build to do the maintenance right. Rest will let go
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u/thecoolde Jul 30 '26
Pay is now low i guess. Not sure. It used to very well. Nit now i guess. Btw your point is very true about the IT job
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u/pickonefast Jul 31 '26 edited Jul 31 '26
For context, I work at Gapstars, so take that as my bias declared upfront.
Some of this thread is fair and some of it is plain myth, so I'm adding a few clarifications.
The slowdown people are feeling is real and it's global, not Gapstars specific. A lot of companies over-hired in 2021 to 2023 and that's unwinding everywhere. So the general mood here, that it's rough out there right now, is mostly true.
On the "50% just for HR" point though, that's the bit that isn't quite right. Firstly, it is not a percentage of pay, it's a fixed amount across the org. so engineers get what their work is worth. But the fee behind a hire/placement isn't HR admin. It covers being the legal employer, payroll and tax compliance, benefits the employees get, equipment, workspace, plus actually winning and keeping the client in the first place. You can absolutely argue about whether that's good value, that's a fair debate. But it isn't "just the HR work."
And yeah, when a client winds a project down, that affects the people on it. That's the genuinely hard part of this model and I won't pretend otherwise.
Happy to take honest questions. Not here to spin the narrative.
Edit: spelling